It is over six months on from when the Package Travel and Linked Travel Arrangements Regulations 2018 (PTR 2018) came into force on 1 July 2018. PTR 2018 implements Directive (EU) 2015/2302 and replaces the 1992 Package Travel Regulations. The effect of PTR 2018 is to increase the number of packages that have insolvency protection in place so that consumers are refunded, and where appropriate, repatriated if the organiser becomes insolvent. In response to the concerns raised during implementation, the Government committed to taking stock after six and twelve months of PTR 2018’s operation. The aim is to use the insights gained to help inform a fuller review at the 12 months stage.

The WTA's key concern is that where the information requirements are useful for consumers when they are purchasing products that are generally recognised to be package holidays that include transport and accommodation, the information required is far less useful in situations where the consumer is purchasing Value-Added product that combines accommodation with “Other Tourism Services” such as a ticket to an attraction. Plus they are of no real use where the products and services are being provided on the same premises by the same operator. In these situations, the requirements are simply an additional burden for businesses and confusing to consumers.

Wales Tourism Alliance Chair, Andrew Campbell (2nd right) gave a presentation at Sail Scotland's Marine Tourism Conference, (6th March 2019) held in the Clydeside town of Greenock. The event formed part of Scotland's Month of Tourism and was focused on how best to secure opportunities for the Year of Coasts and Waters which commences in 2020.

Andrew gave an industry perspective and review of Wales' Year of the Sea 2018 campaign, based upon feedback received from WTA members - and was also able to share ideas and examples of good practice. It was also an occasion to showcase the nation's maritime assets, which one delegate described as a "great advert for Welsh tourism!".

Other speakers included:
Fergus Ewing   -   Cabinet Secretary for the Rural Economy; Jock Wishart    -    Legendary Maritime Adventurer; Hugo Tagholm  -   CEO Surfers Against Sewage; Marie Christie   -    VisitScotland; Robbie Drummond  -  MD Calmac Ferries; Jeff Houlgrave  -    Chairman Superyacht UK
Karen Christie  -    Scottish Tourism Alliance;  Daniel Steele    -    CEO Sail Scotland 

TIER is a small group comprising key tourism industry organisations and government.  The group develops plans for crisis scenarios as well as managing the tourism industry’s response to a specific crisis. TIER is facilitated by VisitBritain and comprises 10+ industry representatives.  Members of the group include the Association of British Travel Agents, UKinbound, UK Hospitality, Britain’s national tourist boards, British Airways and the Association of Leading Visitor Attractions. Other groups are called on depending on the location and nature of the crisis.
 
A meeting was held on the 12th March to discuss the impact of BREXIT on the industry:

• Members reported a slowdown from our European markets overall, notably France, Germany, the Netherlands and school groups. With more than two-thirds of the UK’s inbound tourism visits coming from Europe, it was recognised that it is is crucial that we work to retain as well as grow this region, emphasising our welcome and good value.  
• The longer-term trend overall from long-haul markets has been one of rapid growth. Members reported that markets such as the US and China are immune from impact and this is backed up by strong forward flight bookings from the US, our most valuable visitor market, tracking up 18% for arrivals between March and May compared to the same period last year and up 19% from China, the world’s most valuable outbound market.  
• The business event sector still seems to be performing well, clarity on visas and the movement of goods longer-term is needed to continue to attract conferences, meetings and exhibitions to the UK.  
• Concern was expressed by the group about inaccurate information being provided by foreign Governments in market regarding travel to Britain from 30 March.  
• For many members, the domestic market is seen is the biggest opportunity for 2019, with businesses keeping their marketing budgets flexible. Both VisitScotland and London & Partners are about to launch domestic campaigns and VisitEngland has increased investment in domestic marketing for next year.  
• VisitBritain is currently developing a marketing campaign in Europe for launch in the first quarter of the financial year (April-July). Working in partnership with the private sector, activity will reinforce the welcome message, encourage visitors to book now and provide reassurance on practical areas, such as visas, ID cards, etc.  
• The Government has published two pages of advice for outbound and inbound travellers on Gov.uk.

 
Advice for visitors

• Travel for EU visitors will not change: Both the EU and the UK have proposed reciprocal visa-free travel for their nationals. The UK will accept national ID cards from EU and EEA nationals until December 2020 but the intention to phase out their use and move to an automated border was stated in the Immigration White Paper. EU nationals can continue to use e-passport gates and we would encourage EU nationals to travel on biometric passports as it means they can use e-gates. Further info on the new Gov.uk page which also states there will be no changes to immigration requirements for tourists visiting the UK from non EU countries. Tourists from non EU countries can check if they need a visa here.  
• Aviation - Measures put forward by the UK and the EU will ensure that flights can continue in any EU Exit scenario.  The European Commission has agreed a provisional Regulation which would allow for the continuation of flights from the UK to the EU for a period of 12 months and the Government has set out detailed plans confirming protection for flights in a no deal scenario. The DFT Secretary of State published a statement on the UK position last week.  
• Border preparations - while there is a lot of media coverage of the risks, by end of March 2019, Border Force is on track to increase its workforce by 900 full time staff, against its March 2018 baseline. Border Force is confident that, through the additional recruitment it has successfully delivered ahead of Day 1, and the ability to flexibly deploy contingency staff, it will have the resource it needs in place on Day 1 to manage any new requirements.  
• Driving in the UK: For those without a non-UK licence, how you can drive in the UK will not change after Brexit.

 
For more information, visit https://www.gov.uk/guidance/visiting-the-uk-after-brexit 
 
Advice for workers

• EU nationals working in the UK: In either a deal or no deal scenario EU nationals will continue to be able to come to the UK to work. During the implementation period, EU citizens coming to the UK and UK nationals going to the EU will be able to live, work and study as they do now.  The Government has confirmed in a no deal scenario that EU nationals can work or study in the UK for up to three months and those who wish to stay longer will need to apply to the Home Office for leave to remain within three months of arrival. Subject to identity, criminality and security checks, leave to remain will be granted for 36 months which will include permission to work and study. 

 

There is a Gov.UK website that contains information and advice for visitors to the UK regarding the impacts of Brexit. The site includes information on what happens under both  Deal and No Deal scenarios. The information is being updated on a regular basis so it is keep an eye on the page as the advice changes with the political  situation. https://www.gov.uk/guidance/visiting-the-uk-after-brexit
 
Visit Britain's analysis of the Q3 IPS figures contains useful information on what is happening in European markets. The figures are six months old and the factors associated with increases and decreases are not solely attributable to Brexit, but it does give a flavour as to which markets seem to be holding up (eg., Sweden and Spain) and which ones seem to be affected (Germany and the Netherlands). 
https://www.visitbritain.org/sites/default/files/vb-corporate/Documents-Library/inbound_tourism_trends_q3_2018.pdf

General Economic Status
 

• GDP growth has been cut significantly, to just 1.2% for 2019 before rising to 1.4% and then 1.6% for the next three years
• Aim is to create another 600,000 new jobs by 2023
• Debt to fall to 82.2% of GDP next year, then 79%, 74.9%, 74%, and finally 73% in 2023-24
• Wage are forecast to continue growing faster than inflation

 
It is worth noting that all the forecasts are based on the assumption that the UK leaves the EU with a deal (ie., goes into a transition period during which the status-quo with the EU remains). If UK crashes out, then all forecasts are off.
 
Tourism Related Issues
 
CSR

• Of particular importance to the tourism industry in the context of the Tourism Industry Deal, the Government confirmed that the Comprehensive Spending Review will start before the summer recess with the outcome in Departmental budgets announced alongside the Autumn Budget

 Employment and Skills

• The UK Government has appointed Professor Arindajit Dube to undertake a review of the latest international evidence on minimum wages, to inform future National Living Wage policy after 2020
• From this Autumn, PhD-level occupations will be exempt from the cap on high-skilled visas from this autumn

 
 Transport

• The government will launch a call for evidence on Offsetting Transport Emissions to explore consumer understanding of the emissions from their journeys and their options to offset them.
• From June 2019, citizens of the US, Canada, New Zealand, Australia, Japan, Singapore and South Korea will be permitted to use e-gates at UK airports and at Eurostar terminals. (This was previously been announced as occurring in summer)
• Landing cards from all other countries will also begin to be abolished from June 2019

  
Business Support

• The Government is launching a call for evidence on a Business Energy Efficiency Scheme to explore how it can support investment in energy efficiency measures in order to help small businesses
• The Government will launch a global review into the Economics of Biodiversity to explore ways to enhance the natural environment and deliver prosperity
• The Government has published a consultation on Infrastructure Finance, seeking views on how the government can best support private infrastructure investment in the context of the UK’s changing relationship with the European Investment Bank

 
Taxation
•           The Government announced a review of global tech companies to ensure they pay a fair share of tax in the UK.
 
Marketing

• The Government asked the Competition and Markets Authority (CMA) to undertake a study of the digital advertising market​

​

The inaugural Mid Wales Tourism Awards have been announced to celebrate and promote the region’s exceptional tourism industry and the talented businesses and individuals driving the sector forward. 
 
Unveiled at the Mid Wales Tourism Conference, held in Llandrindod Wells, by Steve Hughson, chair of the Regional Tourism Forum (Mid Wales) and chief executive of the Royal Welsh Agricultural Society, the awards will recognise tourism excellence throughout Powys, the Brecon Beacons, Ceredigion and Southern Meirionnydd.
 
“Mid Wales is being talked about all over the world so it is only fitting that these awards are introduced to reward the outstanding work that we are seeing every single day of the year,” said Mr Hughson.
 
“Tourism Awards are well established in North and South Wales, so now is our time to shine by backing the incredible businesses and individuals who are excelling across Mid Wales.”
 
Nominations in a number of categories will open in May 2019 with the winners to be announced at a glittering ceremony at The Hafren, Newtown, on October 17. 
 
Sub categories for each of the main awards will give smaller businesses in Mid Wales the opportunity to compete at regional level and be recognised as finalists, with the overall winners going forward to the national Visit Wales Awards in March 2020.
 
The Awards are being organised by Mid Wales Tourism, also known as MWT Cymru, the regional destination marketing and membership organisation for Powys, Ceredigion, and Southern Meirionnydd. As a not-for-profit social enterprise company, they support and represent over 550 businesses and organisations throughout the region.
“The importance of these Awards extends way beyond who wins,” said Val Hawkins, chief executive of MWT Cymru. “The criteria to enter will be set to exceptionally high standards so it presents an opportunity to not only raise the bar but to also raise the profile of the wonderful attractions and businesses that make Mid Wales such a unique place to visit.
 
“The Mid Wales Tourism Awards are ultimately our chance to promote the region and I wholeheartedly encourage everyone involved in the sector to participate, promote, sponsor or simply attend the awards night to make it a roaring success.”
 
The Mid Wales Tourism Awards have the full support of Visit Wales, the national tourism organisation funded by the Welsh Government, and the Regional Tourism Forum (Mid Wales), a public and sector partnership of which MWT Cymru is an active member.
 
A dedicated Tourism Advisory Group has been established specifically to assist and will include representatives from Visit Wales, Ceredigion County Council, Powys County Council and others.
 
Meanwhile, expressions of interest for exclusive headline sponsorship and category sponsorship opportunities are now open. 
There are currently 12 award categories, with more due to be announced soon, which capture the huge diversity of the Mid Wales’ tourism industry.
 
For more information on the sponsorship packages available, or to keep up to date with the latest developments, visit www.midwalestourismawards.co.uk
 
Mid Wales Tourism Awards (further categories to be announced soon):

• Best Hotel 
• Best B&B
• Best Self Catering
• Best Camping
• Best Glamping
• Best Attraction
• Best Activity
• Best Event
• Best Place to Eat
• Young Tourism Person of the Year

Tourism Business Innovation Award

The WTA, whilst welcoming Conwy County Borough Council's plans to make tourism in Conwy a billion pound part of the economy, has expressed alarm at  reports of Councillors wanting to look at a new tourism tax and a charge of £1 per head. 

Andrew Campbell, Chairman of the WTA said, 'Where Tourism Tax is applied, it has been in destinations with 'too many' visitors and is used as a means of controlling numbers. Despite its popularity, surely Conwy does not want to curb visitors? Most European countries have chosen to significantly reduce the VAT on their tourism industries to encourage growth, employment and revenue. The imposition of higher taxes in Conwy could inhibit growth, employment, revenue and holiday-taking. Seriously, a Tourism Tax for Conwy'?

A tourism tax must be understood in the wider tax context. The UK imposes one of the highest rates of taxes on its tourism industry.  As a consequence the UK is ranked by the World Economic Forum (2015) as 140th out of 141 countries for price competitiveness in the tourism industry. 

The existing tourism tax burden includes high rates of VAT and Air Passenger Duty (APD), which undermine the sector’s potential to contribute to the national economy, damage growth and stifle job creation. The World Travel and Tourism Council (WTTC), the leading authority on world travel and tourism, has produced several influential pieces of work highlighting the negative impact of tax and the tax burden on the tourism sector. Authored by the well-respected Oxford Economics (who produce much of the economic analysis/data utilised by government at all levels), the reports demonstrate that: 

• the performance and prospects of tourism, one of the key drivers of economies worldwide, are significantly and adversely affected by taxes, limiting growth and job creation;
• Tourism already shoulders more of the tax burden than other industries/sectors including agriculture, finance, health, construction and manufacturing, which effectively receive tax discounts and even subsidies. 

 
The Welsh tourism industry is largely made up of micro businesses/SMEs and the sector is vitally important to rural as well as urban economies, enhancing the provision of facilities and amenities, which are accessed by residents and visitors alike. In Wales, 25% of all VAT registered businesses are in the visitor economy, which has proved to be highly resilient in the face of austerity, offering significant employment opportunities where alternatives are very limited. Levying additional tax on a priority sector is ill informed and would be counter to policy in most other European countries, which have actively sought to cut tourism tax to stimulate tourism growth, tax revenue, GDP and employment.
 
​Clearly, what amounts to an accommodation tax (as it is simply not possible to tax day visitors) in other European countries operates in a much less punitive tax environment, with UK VAT rates more than double most of its competitors. 

Recognising the VAT tax burden, Plaid Cymru’s 2017 manifesto included a reduction in tourism VAT to 5% as an explicit policy, stating that existing tourism taxes are “unfair”. Liberal Democrat policy also supports a cut in tourism VAT. From a social equality perspective this tax would punish those least able to pay, those who already struggle to take any kind of holiday, which is regarded as a human right and right of citizenship. It would also make tourists less likely to choose Wales, opting instead for one of its competitor UK destinations.

 

Worth noting...The Preparing Wales website provides information which will help people and organisations prepare for Brexit in the immediate run-up to 29 March and into the transition period, particularly in the event of a no deal scenario.

​https://beta.gov.wales/preparing-wales